DHUNSERI VENTURES 2023-24 Annual Report Analysis

Mon, 29 Jul

DHUNSERI VENTURES has announced its results for the year ended March 2024. Let us have a look at the detailed performance review of the company during FY23-24.

DHUNSERI VENTURES Income Statement Analysis

• Operating income during the year rose 74.0% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 75.8% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 40.0% in FY24 as against 288.4% in FY23.
• Depreciation charges increased by 30.3% and finance costs increased by 181.3% YoY, respectively.
• Other income declined by 0.4% YoY.
• Net profit for the year declined by 71.9% YoY.
• Net profit margins during the year declined from 233.7% in FY23 to 37.7% in FY24.

DHUNSERI VENTURES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,319	4,035	74.0%
Other income	Rs m	766	763	-0.4%
Total Revenues	Rs m	3,085	4,798	55.5%
Gross profit	Rs m	6,689	1,616	-75.8%
Depreciation	Rs m	220	287	30.3%
Interest	Rs m	57	161	181.3%
Profit before tax	Rs m	7,178	1,931	-73.1%
Tax	Rs m	1,759	410	-76.7%
Profit after tax	Rs m	5,419	1,521	-71.9%
Gross profit margin	%	288.4	40.0
Effective tax rate	%	24.5	21.2
Net profit margin	%	233.7	37.7

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DHUNSERI VENTURES Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 2 billion as compared to Rs 728 million in FY23, thereby witnessing an increase of 122.6%.
• Long-term debt down at Rs 3 billion as compared to Rs 3 billion during FY23, a fall of 10.4%.
• Current assets rose 18% and stood at Rs 7 billion, while fixed assets rose 10% and stood at Rs 33 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 39 billion as against Rs 35 billion during FY23, thereby witnessing a growth of 11%.

DHUNSERI VENTURES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	26,373	29,592	12.2
Current Liabilities	Rs m	728	1,620	122.6
Long-term Debt	Rs m	3,088	2,767	-10.4
Total Liabilities	Rs m	35,294	39,281	11.3
Current assets	Rs m	5,538	6,556	18.4
Fixed Assets	Rs m	29,757	32,725	10.0
Total Assets	Rs m	35,294	39,281	11.3

DHUNSERI VENTURES Cash Flow Statement Analysis

• DHUNSERI VENTURES's cash flow from operating activities (CFO) during FY24 stood at Rs -70 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 239 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -508 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -341 million from the Rs 339 million net cash flows seen during FY23.

DHUNSERI VENTURES Cash Flow Statement 2023-24

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-23	Mar-24
Cash Flow from Operating Activities	Rs m	1,426	-70	-
Cash Flow from Investing Activities	Rs m	-3,012	239	-
Cash Flow from Financing Activities	Rs m	1,941	-508	-
Net Cash Flow	Rs m	339	-341	-

Current Valuations for DHUNSERI VENTURES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 43.4, an decline from the EPS of Rs 154.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 418.0, stands at 33.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.5 times, while the price to sales ratio stands at 3.6 times.
• The company's price to cash flow (P/CF) ratio stood at 7.5 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Sales per share (Unadj.)	Rs	66.2	115.2
TTM Earnings per share	Rs	154.7	43.4
Diluted earnings per share	Rs	154.7	43.4
Price to Cash Flow	x	1.4	7.5
TTM P/E ratio	x	-6.0	33.1
Price / Book Value ratio	x	0.3	0.5
Market Cap	Rs m	8,142	13,588
Dividends per share (Unadj.)	Rs	5.0	5.0

Ratio Analysis for DHUNSERI VENTURES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 4.0x during FY24, from 7.6x during FY23. The current ratio measures the company's ability to pay short-term and long-term obligations.

Interest Coverage Ratio: The company's interest coverage ratio deteriorated and stood at 13.0x during FY24, from 126.1x during FY23. The interest coverage ratio of a company states how easily a company can pay its interest expense on outstanding debt. A higher ratio is preferable.

• Profitability Ratios

Return on Equity (ROE): The ROE for the company declined and down at 5.1% during FY24, from 20.5% during FY24. The ROE measures the ability of a firm to generate profits from its shareholders capital in the company.

Return on Capital Employed (ROCE): The ROCE for the company declined and down at 6.5% during FY24, from 24.6% during FY23. The ROCE measures the ability of a firm to generate profits from its total capital (shareholder capital plus debt capital) employed in the company.

Return on Assets (ROA): The ROA of the company declined and down at 4.3% during FY24, from 15.5% during FY23. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Current ratio	x	7.6	4.0
Debtors’ Days	Days	2	23
Interest coverage	x	126.1	13.0
Debt to equity ratio	x	0.1	0.1
Return on assets	%	15.5	4.3
Return on equity	%	20.5	5.1
Return on capital employed	%	24.6	6.5

To see how DHUNSERI VENTURES has performed over the last 5 years, please visit here.

DHUNSERI VENTURES Share Price Performance

Over the last one year, DHUNSERI VENTURES share price has moved up from Rs 270.3 to Rs 418.0, registering a gain of Rs 147.8 or around 54.7%.

Overall, the S&P BSE SENSEX is up 22.6% over the year.

(To know more, check out historical annual results for DHUNSERI VENTURES and quarterly results for DHUNSERI VENTURES)